AdvanSix Inc (ASIX)

Debt-to-assets ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	170,000	170,000	140,000	127,000	115,000	135,000	146,500	220,000	135,000	135,000	195,000	246,000	275,000	313,000	388,000	337,000	297,000	266,000	255,000	220,000
Total assets	US$ in thousands	1,496,020	1,476,450	1,467,010	1,448,820	1,495,330	1,455,530	1,483,260	1,457,120	1,312,000	1,290,360	1,245,320	1,242,780	1,263,410	1,235,130	1,286,000	1,263,310	1,235,970	1,211,820	1,162,890	1,123,770
Debt-to-assets ratio		0.11	0.12	0.10	0.09	0.08	0.09	0.10	0.15	0.10	0.10	0.16	0.20	0.22	0.25	0.30	0.27	0.24	0.22	0.22	0.20

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $170,000K ÷ $1,496,020K
= 0.11

The debt-to-assets ratio of AdvanSix Inc has been relatively stable over the past eight quarters, ranging from 0.08 to 0.15. This ratio measures the proportion of the company's total debt compared to its total assets. A lower ratio indicates that the company has a lower level of debt in relation to its assets, which can signify a lower financial risk and stronger financial health.

In the most recent quarter (Q4 2023), the debt-to-assets ratio was 0.11, which suggests that around 11% of AdvanSix's assets are financed by debt. This indicates a moderate level of leverage, which can be considered favorable as it shows a balance between debt and assets.

Overall, the trend of AdvanSix's debt-to-assets ratio in the past quarters indicates that the company has maintained a conservative approach to leverage, ensuring a healthy balance sheet and financial stability. This consistent performance in managing debt levels suggests a prudent financial strategy that aligns with maintaining sustainable operations and growth.